Reports On Twitter-TikTok MERGER!
According to reports, there has been news about Microsoft negotiating with TikTok owner and is consider as a front-runner in any possible deal. There can be a merger between Twitter and TikTok!
According to reporters, there have been constant talks for Twitter Inc. to held a potential combination with TikTok, the app which has been declared as a national-security threat by Trump administration, Dow Jones reported, citing people being familiar with the matter!
Twitter Inc. is a San-Francisco based social-media company of United States whereas TikTok is a Chinese owned video-sharing app by ByteDance LTD., which has been between talks around the whole world as there have been trusting issues to different nation accusing the company of stealing personal data from their mobile phones.
Zhang Yiming, 36 years- old software engineer and also the founder of TikTok has now a net worth of $16.2 billion according to Forbes estimates. The video-sharing app has already been a frequently used app to people as it attracted people of all group ages to make 15 second -video and get entertained by watching videos during leisure time. TikTok also had a plus pointed as it was a source of income to many TikTok stars who got a huge fan base.
As per reports, it's unclear whether Twitter will pursue a deal or not, which would be involving TikTok's US operation, people said. Twitter has a small net worth, it has reasoned it probably would not face the same level of antitrust scrutiny as Microsoft Corp. or other potential bidders. Dow Jones's analysis tells people are familiar with the discussion.
According to people, Microsoft has been negotiating for weeks with TikTok's owner, Beijing based ByteDance LTD., and is considered as FRONT-RUNNER for any deal. The Microsoft CEO, SATYA NADELLA spoke with President Donald Trump about this matter a week ago.
Dow Jones says, Twitter needs investors to buy TikTok, though it counts private-equity firm Silver Lake among its investors.
The need for investors can be well understood by the fact that Twitter market capitalization is about $29 billion whereas Microsoft at more than $1.6 trillion which shows a desperate need of investors by Twitter to merge with TikTok.
However, a TikTok spokesman said the company doesn't comment on 'market rumors', in response to an inquiry on Dow Jones' report.
Peeking through the last few years of history, Jack Dorsey, the chief executive of Twitter, has had failed attempt at the short-form video: it shut down VINE APP in 2016, four years after acquiring it, as a part of an effort to cut costs.
President Donald Trump had also accused Twitter and is under attack, who said that Twitter and Facebook Inc. are unfairly censoring him. It has been under discussion as both the platforms had blocked a video shared by accounts linked to Trump for violating their policies on coronavirus misinformation.
On the other hand, TikTok has planned to file a federal lawsuit as soon as by Tuesday to challenge President Trump's executive order banning the video-sharing service from the US as unconstitutional, National Public Radio reported earlier this Saturday, cited by an unknown source. TikTok responded to the ban in a blog post on Friday, saying it was 'shocked' and would pursue all remedies available.
During this coronavirus times, TikTok has to deal with a different accusation which may be correct but there is more a war-like situation due to bad relations between US President Donald Trump and Chinese President Xi Jinping where the former accuses the latter of making coronavirus and spreading it all around the world and destroying the peace at great level!